TORONTO, April 4, 2020 /CNW/ - As part of BMO's relief efforts to help Canadians financially affected by COVID-19, the bank will temporarily provide an effective interest rate on credit cards of 10.99% for personal and small business customers, who are experiencing financial hardship as a result of COVID-19 and are receiving a credit card payment deferral.
"As the COVID19 situation evolves, our teams are working to ensure that we help Canadians through this difficult period and ensure the safety of our employees and customers as we deliver that help," said Erminia (Ernie) Johannson, Group Head, North American Personal and Business Banking, BMO Financial Group. "Giving more options to our customers is another step in helping manage their cash flow and other financial challenges."
For customers that have already applied for a credit card payment deferral prior to April 13, 2020, they will automatically be provided an effective rate of 10.99% and do not need to contact BMO. For customers applying for deferrals on or after April 13, the effective rate will be available at that time.
How BMO is supporting customers
This announcement expands upon the existing measures previously announced as well as measures announced by the federal government to support Canadian consumers and businesses. Additional relief measures introduced by the bank include:
- Deferral of payments on mortgages for up to six months as well as deferral of payments on loans and credit cards.
- Deferral of payment on small business credit cards and credit lines as well as payment deferral on the principal of a small business loan.
- Increases on small business operating lines to help with short-term working capital. For clients requesting an increase on an operating line, BMO may advance payroll to help ensure consistency with employee pay.
- Tailored relief programs for other businesses to assist with operating costs, which may include payment deferrals on loans, lines of credit and access to additional working capital. One-on-one advice on business plans and options to overcome any liquidity concerns, for medium-sized businesses.
BMO has helped over 70,000 customers with relief measures and continues to work with thousands of customers on a daily basis to provide relief. In support of seniors and other vulnerable groups, during month end, select branches will open a half hour early to assist seniors with their banking needs.
BMO is also advising clients to sign up for Online Banking, Mobile Banking, and Online Banking for Business, as applicable. BMO’s retail online and digital capabilities are free, easy to use, and provide complete access 24/7.
For any BMO updates on COVID-19, please visit https://www.bmo.com/covid19
To enroll in Canada Revenue Agency's direct deposit for benefit payments, visit: https://www.bmo.com/main/personal/ways-to-bank/cra-direct-deposit/?ecid=va-US48523EDB1-DMBMO14
About BMO Financial Group
Serving customers for 200 years and counting, BMO is a highly diversified financial services provider - the 8th largest bank, by assets, in North America. With total assets of $880 billion as of January 31, 2020, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to more than 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.
SOURCE BMO Financial Group